Why did Mexico impose new tariffs on Indian products?

Mexico approved new tariffs on goods from countries without free trade agreements, including India, to boost manufacturing and reduce trade imbalances.

What is India's response to Mexico's tariff hike?

India is engaged in dialogue with Mexico to find solutions and reserves the right to protect its exporters' interests.

When will the new Mexico tariffs on India take effect?

The higher duties imposed by Mexico on Indian imports are scheduled to take effect on January 1, 2026.

Home / Business and Economy / India-Mexico Trade Spat: Tariffs Spark Diplomatic Talks

India-Mexico Trade Spat: Tariffs Spark Diplomatic Talks

13 Dec

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Summary

Mexico imposed steep tariffs on 1,463 goods from non-FTA countries, including India.
India's embassy in Mexico raised concerns about new tariffs on September 30, 2025.
Negotiations for a Free Trade Agreement between India and Mexico are expected soon.

India-Mexico Trade Spat: Tariffs Spark Diplomatic Talks

India is in discussions with Mexico regarding the latter's recent decision to unilaterally impose substantial import tariffs on numerous products. These duties, set to take effect on January 1, 2026, affect approximately 1,463 tariff lines from countries without free trade agreements with Mexico, including India. The Indian Embassy in Mexico had already engaged with Mexico's Ministry of Economy on September 30, 2025, seeking concessions for Indian exports.

Both nations are also preparing to initiate negotiations for a Free Trade Agreement, with terms of reference expected to be finalized shortly. Experts suggest this agreement could shield Indian businesses from the impact of these tariffs, which were reportedly influenced by pressure to align with US trade policies. However, India emphasizes that unilateral tariff increases without prior consultation deviate from cooperative economic engagement principles.